(Washington, DC) - Chief Financial Officer Natwar M. Gandhi said Tuesday that the District is in sound financial condition. Gandhi noted that the annual CAFR (Comprehensive Annual Financial Report) issued on Monday gives the District a “clean audit” and confirms that the city’s budget is balanced for the 12th consecutive year.
The report shows an almost $200 million budget surplus in FY 2008. There also is a $1.245 billion General Fund Balance, even after planned draw-downs for one-time uses and a “Rainy Day Fund” of $330 million that is projected to grow to $358.5 million in FY 2010. Included in the Fund Balance is some $87 million in unrestricted funds available for FY 2009 and beyond.
“The District’s financial performance in FY 2008 was due to the hard work and diligence of the Mayor and City Council,” Gandhi said, “and in these very uncertain times this record of fiscal responsibility is reassuring to the city’s residents.”
Gandhi noted that the deepening recession is bringing reduced revenues, rising unemployment and projected revenue shortfalls in fiscal years 2010, 2011 and 2012.
“However, the positive record of fiscal management, careful planning for the future, and the likelihood of significant financial assistance from the Federal government provide safeguards for the coming years,” Gandhi stated.
Attached is a summary of the 2008 CAFR. The complete document is on the Office of the Chief Financial Officer’s website at: FY 2008 CAFR.